SRES Consumer Newsletter - May 2020

Consumer Newsletter – May 2020 US Edition; By Elyse Umlauf-Garneau	www.sres.org

Caremongering Spreads Goodness, Not Fear

As news of Covid-19 started gearing up, Allison Bradley felt heartbroken when she spotted seniors running errands and grocery shopping around her town, Kelowna, B.C.

“My goodness, you are risking so much by being out here. It’s so unnecessary.” she recalls thinking. She then stopped by a senior service center and volunteered to help out during the pandemic.

“But I was still frustrated and upset. I kept seeing more of these seniors and felt I wasn’t doing enough,” she says.

Surrender to kindness

She and her partner, John Scott, responded by launching Caremongering  Kelowna (https://bit.ly/2RyJyZf) on Facebook.

Caremongering is a phenomenon that has swept across Canada to respond to community needs as the Covid-19 pandemic took hold. Rather than surrendering to hopelessness and embracing anguish and spreading fear, caremongering gives people a way to act on their good natures and help their communities and neighbors.

It’s dead simple. Local residents post their needs – groceries, protective masks, and medicine pick-ups -- and local volunteers step in to fulfill those needs.

Facebook Caremongering sites have emerged across Canada, including those in Oakville (https://bit.ly/2Vn91py), Toronto, Wellington (https://bit.ly/3a30mOf), and Yellowknife (https://bit.ly/2xtN4x0). 

The idea also has taken hold in the United States. Caremongering sites have emerged in Joplin, Missouri (https://bit.ly/2RysdPU), in Tampa, Fla. (https://bit.ly/3emigPv), and in Chicago (https://bit.ly/3eiaPZO), for  instance. In addition, hyper-local groups have popped up, including those in Chicago’s Edgewater (https://bit.ly/3el44Gi) and Logan Square (https://bit.ly/3egBfuM) neighborhoods.

Ensuring community well-being

“When we created Caremongering Kelowna, it was, ‘Oh, this will be good for the community, and we’ll be picking groceries and stuff like that.’ But it's blossomed into so much more,” says Scott.

In addition to helping neighbors with the basics, people in Kelowna also have stepped up to deliver good cheer and maintain their community members’ physical and emotional well-being.

Groups have decorated their cars with balloons and streamers to do drive-by birthday parties.

Kevin Negoro, a local chef, cooked an entire meal (https://bit.ly/2yON8Yz) and dropped it off to help a family celebrate a birthday.  

A property owner with an empty Airbnb near the local hospital is letting nurses stay for free.

Someone else wanted to learn how to play the guitar and a guitarist offered to sanitize one of his instruments and drop it off.

On other caremongering  sites, the stories are much the same. People have been dropping off cake mixes, answering questions about making homemade yeast, delivering Easter meals to seniors, offering advice on starting gardens, and giving others a heads-up about where to get supplies and find doctors and home repair experts.

Still, it’s been challenging to find and serve the needs of seniors because many aren’t on Facebook, and Bradley and Scott still are looking for ways to get the word out more widely to seniors and their families.

From the heart 

The two also encourage others to create their own caremongering sites.

Set-up is a cinch, and there’s minimal management, other than establishing a few ground rules and moderating the site.

Scott created a basic Facebook page and made it public. Beyond inviting some friends to join, there was no marketing involved.

Word got out through friends sharing the page with friends. In addition, the media picked up on it and did a couple stories, and within a few weeks of its March 17^th launch, the site had over 1,700 members.

“We've got no organization over us, and we don't take direct control of anything, other than encouraging people and saying, ‘Hey, you've got abilities and talents that nobody else has that you can contribute,’” says Scott. “Everyone has a neighbor and every neighbor has something that they can offer to one another.”

It starts with you

The main thing they monitor on the site is businesses trying to promote themselves or others looking for financial gain.

“It's got to be, ‘How can I help?’ It has to be from the heart,” says Bradley.

For those who feel paralyzed and overwhelmed by stay-at-home orders, fears for the future, and dismay about the global political scene, Scott’s message is: “This doesn’t start at the top, but at the grassroots with you. You're in charge of your household, you're a part of a community, and you really are your own leader who can set an example.”

Visit the SRES blog to find tips on setting up your own Caremongering site.

	Real Estate Matters: News & Issues for the Mature Market Coldwell Banker Premier Group 2203 S. Big Bend Blvd St. Louis, MO 63117 Matt Wroughton - SRES, PSA

 

SRES Consumer Newsletter - April 2020

Consumer Newsletter – April 2020 US Edition; By Elyse Umlauf-Garneau	www.sres.org

IRS Extends Tax Payment Deadline

The Coronavirus is changing almost everything about daily life in America. That   includes federal income tax too.

Tax day is now July 15, 2020.

That means all taxpayers can defer federal income tax payments that normally are due on April 15, 2020, to July 15, 2020, without penalties and interest, no matter how much is owned.

You also don’t have to file an extension or fill out any forms to qualify for the automatic extension. 

However, if you’re expecting to receive a refund, file on time because those payments are still being processed.

For complete information, see: https://bit.ly/2wmoZYL

Keep in mind that the change applies to federal tax payments, not to state tax payments.

That said, some states, including California and Oregon, have extended the deadlines too. Check with your state to see if the deadline has changed.

Additional information on state taxes:

·        American Institute of CPAs -- https://bit.ly/2J5kBjv

·        Federation of Tax Administrators: -- https://bit.ly/33zkA0w

5 ways to use your social isolation time

With most dining and entertainment options shut down because of the Coronavirus,  Americans are spending oodles of time at home these days. Use your period of social isolation wisely. Here are five ideas.

1.     Finish up the undone home maintenance projects that you haven’t had time to get to.

2.     If you’ve been planning a Marie Kondo-style purge, now’s the time to do it.

3.     Pull out the programmable thermostat, LED bulbs, and low-flow showerheads and faucets that you stashed away. Install them now to start saving money on your utility bills.

4.     Think about your current estate plan and any modifications you may want to make. And if you don’t have one, start planning one and get a future appointment with your lawyer on the calendar. See: https://on.wsj.com/3a7Wmgj  

5.     Plan and design your spring garden. For tips, see: https://bit.ly/2Uj1SWQ 

How much time does $1 million nest egg buy in major cities?

Even for those who have been diligent savers, there are always nagging questions.  Can I afford to keep living in my house and will I be priced out of my city? How long will my money last?

GoBanking has answers.

It looked at 50 cities, examining things like average annual expenditures in each city for those 65 and older. It also factored in the average annual Social Security benefits and other data to estimate how long a $1 million nest egg would last in each place.

San Francisco provides the least mileage, and that $1 million nest egg would be used up in 8 years, 3 months, and 19 days. In San Jose, Calif., you’d get a little longer -- 10 years, 9 months, and 20 days.

Other California cities, including Los Angeles, Oakland, Long Beach, and San Diego, also are pricey, especially when compared to places where your dollars can stretch for a really long time.

Memphis, Tenn., is one such place, and $1 million can last 45 years, 4 months, and one day. Similarly, in El Paso, Tex., those dollars will carry you 40 years, 3 months, 22 days.

In Tucson, you can buy 33 years, 4 months, 1 day in the sunshine; and in Jacksonville, Fla., you get 32 years, 3 months, 16 days.

See exactly how the figures were calculated and check all 50 of the cities in GoBanking’s study: https://bit.ly/2U48yt0

Aging checklist

While you’re planning your downsizing strategies, it’s also worth taking a look at Forbes magazine’s aging checklist, http://bit.ly/37F8h3k. 

It offers some crucial to-dos six crucial categories. The categories and some of the advice are:

1.     Estate planning documents. Include up-to-date wills, durable power of attorney for finances and healthcare, and a healthcare directive.

2.     Finances. Provide contact information for financial advisors, lists of all accounts, and up-to-date beneficiary designations.

3.     Insurance. List insurance policies, review health insurance coverage, and other policies – homeowners, auto, umbrella liability – to be sure they’re still appropriate, and provide the contact information for your insurance advisors.

4.     Housing. Consider whether your house is suitable for aging and what modifications need to be made. Think about whether you should downsize and when such a move would be appropriate.

5.     Health. Keep an updated list of your doctors and medications.

6.     Technology. Keep a list of all your online logins for banks, investment accounts, social media sites, and so forth.

7.     Business. Create succession plans, if you own a business.

8.     Personal.  Specify in writing who will manage your financial, legal, and personal tasks.

Real Estate Matters: News & Issues for the Mature Market Coldwell Banker Premier Group 2203 S Big Bend Blvd St. Louis, MO 63117 Matt Wroughton -  SRES, PSA

SRES Consumer Newsletter - March 2020

Consumer Newsletter – March 2020 US Edition; By Elyse Umlauf-Garneau	www.sres.org

Walkability’s Worth

How walkable is your city and how much more will buyers pay for that convenience? Redfin has some answers.

It found that homes that allow people to walk to schools, shopping, parks, and other amenities sell for an average of 23.5%, or $77,668, more than comparable properties in areas where residents are dependent on a car.

Redfin looked at sales prices and Walk Score rankings on nearly 1 million homes in 16 U.S. cities and in two Canadian cities to see walkability’s effect on home prices.

Cities where daily errands can be done without a car get scores of 90 points or above and are considered a walker’s paradise. Scores of 70 to 89 indicate that most errands can be accomplished on foot, and when only some errands can done on foot, a city is labeled somewhat walkable and receives scores between 50 to 69. Scores between 0 and 24 are considered car dependent and residents need cars to do most or all errands.

Though buyers will spend extra for greater walkability, the premium they’ve paid for properties slipped 2.3% from 2016. That’s slide is attributed to affordable homes being in demand and the fact that they’re often located in less walkable spots. Since many  buyers can’t afford pricier walkable neighborhoods, they’re willing to trade walkability for affordable single-family properties.

Walkable Premiums by Region

Location	Premium for walkable homes	Walk Score
Boston, Mass.	$140,724	82
Washington, D.C.	$102,166	76
Seattle, Wash.	$86,331	74
Atlanta, Ga.	$74,741	48
San Diego	$60,225	51

For a complete list and more details on each of the markets Redfin studied, see: http://bit.ly/2HM9V8V.

SECURE Act and Your Retirement

SECURE Act and Your Retirement

The SECURE Act (Setting Every Community Up for Retirement Enhancement Act of 2019), aimed at improving people’s retirement security, was signed into law at the end of 2019.

Some key changes of the SECURE Act (http://bit.ly/2HwrLfV) affect Individual Retirement Accounts (IRAs) and has implication for anyone planning for retirement. 

Required Minimum Distributions

Before, you were required to start taking money out of traditional IRAs – Required Minimum Distributions (RMDs) – by April 1 of the year after you turned 70 ½.

You now can wait until you’re 72 to start taking RMDs, which gives you extra time to save and to let your money grow.

Longer window for saving

You can keep contributing to your IRA for as long as you’re still working, whereas before, there was an age limit of 70 ½. The new law may help you save more for retirement.

Inherited IRAs  rule change

There also are changes for those inheriting IRAs. Before, those inheriting such funds could take distributions over their lifetime. But that timeframe has now been reduced to 10 years. Learn more about what it may mean for you at the SRES blog.

Throw a downsizing party

You already know that your kids and grandkids want little, if any, of your stuff. Decorative objects often don’t suit their taste, furniture isn’t the right style or scale for their apartments, and they already have all the kitchen gear they need.

Downsizing is never easy, and the added burden of having to label, pack, and get things to a suitable recipient can be overwhelming.

It’s why a downsizing party may be just the thing .

A recent Washington Post story (https://wapo.st/3bNGy3H) talked about how one Washington, D.C., couple, Karen and Fritz Mulhauser, threw a party and invited friends to cart away things – linens, glasses, books, decorative objects – from the house.

You never know who, among your friends, neighbors, and relatives, has had an eye on a particular collection, painting, sculpture, or decorative object and will be willing to take it off your hands.

For you, the party preparation couldn’t be simpler. You label or put out the things that you want taken away and invite friends to bring paper, boxes and bags and cart it out.

Provide some snacks and beverages – the Mulhausers were ready with 200 flutes full of champagne – and a little good cheer, and within a couple hours, your load could be lightened.      

	Real Estate Matters: News & Issues for the Mature Market Coldwell Banker Premier Group 2203 S Big Bend Blvd St. Louis, MO 63117 Matt Wroughton -  SRES, PSA